Hermès, a renowned luxury brand, is actively participating in the third LCF Fund alongside other prestigious companies such as Chanel, L’Occitane, and Danone. This initiative aims to make a significant impact on preserving natural resources and providing support to rural communities in developing countries.
Building on the success of previous initiatives in 2011 and 2017, the third LCF Fund brings together a limited number of companies and investors who share the goal of assisting rural communities in preserving or restoring their natural ecosystems. At the same time, the initiative aims to help these communities improve their livelihoods through the implementation of sustainable agricultural practices.
The project boasts an impressive lineup of stakeholders, including Hermès, Bel, Chanel, Danone, DEG, Eurofins, the Global Environment Facility, L’Occitane, Mars, Mauritius Commercial Bank, McCain Foods, Orange, SAP, Schneider Electric, and Voyageurs du Monde. With an initial closing value of €150 million, these companies and investors are committed to making a positive and lasting impact.
Hermès, a longtime supporter of the LCF funds, has been actively involved with the initiative for the past nine years. This commitment is in line with the brand’s corporate social responsibility (CSR) strategy, emphasizing their dedication to sustainable practices. It comes as no surprise that Hermès reported record-breaking sales in the first quarter of 2021.
Since 2019, Hermès has been offsetting “over 100%” of its own emissions. The brand prides itself on being a low emitter of CO2 due to its artisanal, local, and highly integrated manufacturing model. Approximately 80% of Hermès’ production takes place in France, further contributing to its lower carbon footprint.
In addition to its offsetting efforts, Hermès has set ambitious targets to reduce its greenhouse gas emissions. By 2030, the brand strives to achieve a -50% reduction in absolute value for its own activities and a -50% reduction in intensity for its indirect emissions compared to 2018 levels. Currently, the group has already achieved an 18% decrease in emissions compared to the reference year.
As a brand committed to sustainability and environmental stewardship, Hermès continues to innovate and implement strategies that contribute to a greener future. Their involvement in the third LCF Fund demonstrates their dedication to making a positive impact on both a local and global scale.
Useful links:
1. Hermès CSR Initiatives
2. LCF Fund Official Website
